We use cookies to provide you with a better experience. By continuing to browse the site you are agreeing to our use of cookies in accordance with our Cookie Policy.
Accept
  • SKIP TO CONTENT
  • SKIP NAVIGATION
  • Drug & Device Products
    • FDAnews Books Library
    • Events
    • Form 483s Database
    • Publications
    • Webinar Training Pass
    • eCFR and Guidances
    • Books
  • Clinical Products
  • Advertising
  • White Papers
  • Contact Us
  • About Us
  • COVID-19
  • Sign In
  • Create Account
  • Sign Out
  • My Account
Home » Jazz, Lundbeck and Alexion Pay $122M to Settle Federal Kickback Claims

Jazz, Lundbeck and Alexion Pay $122M to Settle Federal Kickback Claims

April 12, 2019

Three drugmakers have agreed to pay nearly $123 million to settle separate claims that they defrauded the government through an elaborate kickback scheme involving charitable foundations.

Jazz Pharmaceuticals, Lundbeck and Alexion Pharmaceuticals were facing charges from the U.S. Attorney’s Office in Boston that they had each provided money to nonprofit groups earmarked solely to cover the copays of their own drugs.

It was a back-door way of gouging Medicare and the Medicare and Civilian Health and Medical Program, prosecutors had alleged. None of the companies admitted fault.

Under the settlement, Jazz will pay $57 million to settle claims that it created a fund to cover copays of its anti-narcolepsy drug Xyrem (sodium oxybate) and its painkiller, Prialt (ziconotide). The company will also submit to a corporate integrity agreement with HHS for the next five years.

Lundbeck will pay $52.6 million and put itself under a five-year corporate integrity agreement to settle claims that it used a nonprofit foundation to earmark copayments for its anti-chorea drug Xenazine (tetrabenazine).

Alexion, for its part, will pay $13 million to settle claims that it used a foundation to cover copays of Soliris (eculizumab), which is used to treat paroxysmal nocturnal hemoglobinuria and atypical hemolytic uremic syndrome.

View today's stories

Pharmaceuticals Regulatory Affairs

Upcoming Events

  • 08Feb

    Process and Design Validation for Devicemakers: A Deep Dive into Best Practices, Recent Trends and Regulatory Definitions

  • 09Feb

    The Inextricable Link Between Data Integrity and Quality Culture

  • 15Feb

    Advanced Compliance Writing CAPA: Mastering Failure Investigation and Root Cause Analysis

  • 16Feb

    Fundamentals of FDA Inspection Management: Reduce Anxiety, Increase Inspection Success

  • 22Feb

    Best Practices for Developing and Maintaining a GxP Training Matrix

  • 07Mar

    FDA’s Remote Assessments v. Remote Interactive Evaluations: Do You Really Know the Difference?

Featured Products

  • FDA’s New Quality System Regulation: Transitioning from QSR to ISO 13485

    FDA’s New Quality System Regulation: Transitioning from QSR to ISO 13485

  • Selecting and Implementing Electronic Document Management Systems in the EU

    Selecting and Implementing Electronic Document Management Systems in the EU

Featured Stories

  • Consortium Gets EU Funding to Develop Continuous Blood Pressure Monitoring Device

  • FDA Approves GSK’s Oral Drug for Chronic Kidney Disease-Related Anemia

  • Aspivix’s Carevix Cleared to Reduce Pain, Bleeding in Gynecological Procedures

  • FDA Warns That Energy Supplement Contains Active Cialis Ingredient

The Revised ICH E8: A Guide to New Clinical Trial Requirements

Learn More
  • Drug Products
    • Quality
    • Regulatory Affairs
    • GMPs
    • Inspections and Audits
    • Postmarket Safety
    • Submissions and Approvals
    • Research and Development
    • Commercial Operations
  • Device Products
    • Quality
    • Regulatory Affairs
    • QSR
    • Inspections and Audits
    • Postmarket Safety
    • Submissions and Approvals
    • Research and Development
    • Commercial Operations
  • Clinical Products
    • Trial Design
    • Data Integrity
    • GCP
    • Inspections and Audits
    • Transparency
  • Privacy Policy
  • Do Not Sell or Share My Data
Footer Logo

300 N. Washington St., Suite 200, Falls Church, VA 22046, USA

Phone 703.538.7600 – Toll free 888.838.5578

Copyright © 2023. All Rights Reserved. Design, CMS, Hosting & Web Development :: ePublishing